Answered step by step
Verified Expert Solution
Question
1 Approved Answer
You have received entitlements to build a retail center with 500,000 sq. ft. or an office building with 450,000 sq, ft. on a 2-acre site.
You have received entitlements to build a retail center with 500,000 sq. ft. or an office building with 450,000 sq, ft. on a 2-acre site. The retail NOI per sq. ft. is $20 and office is $22, the stabilized return on cost for the retail property is 7% and 5.5% for the office property. Which of the following statements is true?
A. The stabilized NOI of the office building is $9.9 million
B. The stabilized NOI of the retail center is $10.5 million
C. The FAR of the retail center is 5.5 D. The FAR of the office building is 5.5
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started